PUNE: Not just individuals and commercial organizations, even government agencies default on property tax payment.

The list of government defaulters includes offices of Union as well as state governments. They collectively owe the Pune Municipal Corporation Rs 5 crore approximately.

"Central offices, including some defence forces organisations, have not paid the property tax. Even public transport agencies are yet to clear their dues. Some of these agencies have not paid up for more than 10 years," some sources in the PMC's property tax department told TOI.

The fine amount has been increasing steadily for years. In 2015, the PMC had offered a discount on penalty for recovering the dues. The concession amount was as high as 75% of the fine, but response from government offices was lukewarm.

"The recovery of such dues is needed to improve PMC's financial health. The additional time allotted to pay property tax with discount has had an adverse impact on its revenues," said a source. The PMC has extended the deadline for paying property tax from May 31 to June 30. Since the start of the new financial year, the department has earned around Rs 320 crore. Last year, the income for the corresponding period was Rs 520 crore. The administration is hopeful that more funds will be collected by June 30.

"The administration has been following up with these agencies. We have sent letters to them and also given notices. Some of the organisations have started paying the dues," said Suhas Mapari, head of PMC's property tax department.